Purchase Solution

Demand for Computers

Not what you're looking for?

Ask Custom Question

Explain how each of the following will affect the demand for computers: (i) a rise in incomes, (ii) an expected drop in the price of computers, (iii) a drop in the price of software, (iv) computers becoming simpler to operate, (v) a drop in the price of tablets. Explain any assumptions that you have to make to give your answer.

Purchase this Solution
Solution Summary

This is a brief discussion of what will happen to the demand for computers given five different scenarios.

Solution Preview

(i) A rise in income would mean that consumers will have more money to buy for computers. This will definitely increase the demand for computers.

(ii) An expected drop in the price of computers will encourage buyers to buy more of it. This will result to an increase in the ...

Purchase this Solution
Free BrainMass Quizzes
Pricing Strategies

Discussion about various pricing techniques of profit-seeking firms.

Economics, Basic Concepts, Demand-Supply-Equilibrium

The quiz tests the basic concepts of demand, supply, and equilibrium in a free market.

Basics of Economics

Quiz will help you to review some basics of microeconomics and macroeconomics which are often not understood.

Elementary Microeconomics

This quiz reviews the basic concept of supply and demand analysis.

Economic Issues and Concepts

This quiz provides a review of the basic microeconomic concepts. Students can test their understanding of major economic issues.

View More Free Quizzes
Related BrainMass Solutions

  • Analyzing elasticities of demand

    Income elasticity=1.1 Change in income=4% So, change in demand of Dell laptop computers=1.1*4%=4.4% Demand of Dell laptop computers will increase by 4.4% Here income elasticity of demand for Dell laptop computers is greater than 1.

  • Shifts in supply and demand for computers

    363551 Shifts in supply and demand for computers Identify causes for shifts in supply and demand for computers Identify causes for shifts in supply and demand for computers The supply and demand model is used to help organizations, to adjust their

  • The cross-price elasticity

    The cross-price elasticity is available for change in prices of software causing the changes in demand for the personal computers. We have no idea how the demand for software is related to the prices of personal compuaters. C.

  • Break-Even Analysis, real GDP, and price elasticity

    a) If average advertising spending is $40,000, the average price of computers at other stores is $350, and the average income of customers purchasing computers is $60,000, estimate the demand curve for computers at the store?

  • Algebra: supply and demand

    244692 Algebra: supply and demand Consider the demand for computers. For each of the following, state the effect on demand: a.An increase in consumer incomes. b.An increase in the price of computers.

  • Supply and Demand Decision

    The demand for computers at the store in Miami is 2,500 or more. Indianapolis needs at least 2,500 computers, and a minimum of 4,000 computers has been requested at the Houston store.

  • Analyzing the effects of non-price factors on demand

    225965 Demand and elasticities 1). Consider the demand for computers. For each of the following, state the effect on demand: a.An increase in consumer incomes. b.An increase in the price of computers.

  • decrease in the price of access

    110815 Home computer increase The steady increase in the demand for home computers has resulted in a massive increase in the demand for web access, yet, the price of access has been steadily declining.

  • Spreadsheet simulation using Excel

    bought as 25 This is because the demand is such that 84% of the cumulative frequency corresponds to 3 or less than 3 Computers daily 3x7=21 or less than 25 computers which is the lot size Uses Excel for simulation.

View More Related Solutions